[P2P-F] bitcoin critique summary

[robin]

On Fri, May 20, 2011 at 8:06 AM, Karl Robillard <krobillard at san.rr.com> wrote:
> I don't see how the alternative currency experiments like Bitcoin do anything
> to help us move to a more egalitarian, steady-state economy.
>

I don't think so either - because of the way it is designed (as a
global and conventional currency). BUT bitcoin does do something else:
it shows that it is possible to use p2p technology to actually run a
currency. That's a pretty mean thing - and as an experiment it proves
pretty succesfull so far. It is pretty wicked to see how I as a
participant owe my own wallet for example and can make any
bitcoin-payment without commission, and at the same time fully
transparant (and if you want anonymous).

That's unique, and as such the technology could maybe also be used in
different ways, by smaller communities even? This technology might
open up a tremendous amounts of options in the future for your own
steady-state economies.

Today though we see Bitcoin being used for an overwhelming amount of
speculation, as more and more people step in and supply is limited.
800% increase in just one month is tremendous by the way. Interesting
to see what comes next!
http://d2o7bfz2il9cb7.cloudfront.net/main-qimg-61d8b2b4ff677206fd8b5d5288191b16
See also http://forum.bitcoin.org/index.php?topic=9098.msg131690#msg131690

The critique in the article quoted by Michel is interesting to read
but is argued from a pretty conventional economic perspective. And why
would it be a scam if it is pretty clear from the start that it
benefits early adapters? And also, why would there not be banks who
would start backing it up? As soon as institutions start having a
vested interest, they will back it up. And does it actually need any?
Only future can tell.

And yes, I do agree that one day bitcoin will go down. But that's only
natural. Any currency eventually falls. Some just sooner than others.
And maybe one day even a state will start issuing this type of
p2p-based currencies.

Robin.